Yes, you can withdraw cash from an ATM with a credit card, but it costs you money and starts charging interest immediately

Most credit cards work at ATMs the same way a debit card does — you insert the card, enter your PIN, and select a cash amount. The machine dispenses the money and your credit card issuer records it as a cash advance. But here is what makes this different from a regular purchase: the moment you take the cash, interest begins accruing at a rate that is usually higher than your regular purchase APR, there is often an upfront fee, and you do not get a grace period like you do with regular charges.

The catch is that not every ATM accepts credit cards, and not every credit card works at every ATM. Visa and Mastercard credit cards work at most ATMs worldwide, but American Express and Discover cards have smaller networks. Some ATMs are owned by your card issuer's bank and may charge no fee; others are independent machines that charge $2 to $5 per withdrawal on top of what your credit card company charges.

Key Takeaways

  • Cash advances from ATMs charge interest from day one, with no grace period, and the interest rate is typically 3 to 5 percentage points higher than your purchase APR.
  • Most credit card issuers charge an upfront fee of 3 to 5 percent of the amount withdrawn, plus any ATM operator fee the machine charges.
  • You can find out whether your card has a PIN and what the cash advance terms are by calling the number on the back of your card or logging into your online account.
  • Using a credit card for cash advances should be a last resort because the total cost—fees plus interest—makes it one of the most expensive ways to borrow money.

How the ATM withdrawal process works with a credit card

To withdraw cash, you need a PIN for your credit card. If you have never set one up, contact your card issuer before you go to the ATM—you may be able to set it online, by phone, or through their mobile app. Once you have the PIN, go to any ATM that displays your card's logo (Visa, Mastercard, Amex, or Discover).

Insert your card, enter your PIN, select "Withdrawal" or "Cash Advance," and choose the amount. The ATM will show you any fee it charges before you confirm. After you complete the transaction, the cash comes out and your card is returned. The entire amount—the cash plus any ATM fee—is recorded as a cash advance on your credit card statement.

What fees and interest rates you will pay

Your credit card issuer charges a cash advance fee, which is usually 3 to 5 percent of the amount you withdraw. If you take out $200, expect to pay $6 to $10 just for the withdrawal. Some cards charge a flat fee (like $5 or $10) instead of a percentage, so check your card's terms to know which applies to you.

On top of that, the ATM operator may charge its own fee—typically $2 to $5 if it is an independent machine. Your bank's own ATMs usually have no operator fee, so using those saves you money if you have the option.

Interest is the bigger cost. Most credit cards charge a higher APR for cash advances than for regular purchases—often 3 to 5 percentage points higher. If your purchase APR is 18 percent, your cash advance APR might be 23 percent. Unlike regular purchases, there is no grace period: interest starts accruing the day you withdraw the cash. If you carry the balance for a month, you will owe roughly 2 percent of the amount in interest alone.

Finding out if your card has a PIN and what the terms are

Not all credit cards come with a PIN automatically. Call the customer service number on the back of your card and ask whether your card has a PIN set up. If it does not, ask the representative to set one for you—this usually happens immediately over the phone or within a few minutes through the app.

While you are on the phone, ask about your card's cash advance APR and fee. You can also find this information in your card's terms and conditions, which are usually available online or in the welcome materials that came with your card. The fee and APR should be listed separately from your purchase terms.

Why using a credit card for cash is expensive compared to other options

A $200 cash advance might cost you $6 to $10 in fees plus $3 to $4 in interest if you pay it back in a month. That is a total cost of $9 to $14 on a $200 transaction—roughly 5 to 7 percent. Over a year, if you carried the balance, the interest alone would be roughly $46.

Compare that to other ways to get cash: a personal loan from a bank or credit union typically charges 6 to 36 percent APR with no upfront fee, a payday loan charges much more but is a one-time fee, and a cash advance from your employer or a family member costs nothing. Even a regular credit card purchase, which has a grace period and a lower interest rate, is cheaper if you need to carry a balance.

The only scenario where a credit card cash advance makes sense is if you need cash urgently and can pay it back within a few days—so the interest charge stays under $1 and you only pay the upfront fee.

What to do if your card does not have a PIN or the ATM rejects it

If the ATM rejects your card, the most common reason is that you do not have a PIN set up. Call your card issuer and set one immediately. Some issuers allow you to set a PIN online or through the app in seconds; others require a phone call.

If you have a PIN but the ATM still rejects the card, try a different ATM—some machines are out of service or do not accept your card's network. If multiple ATMs reject it, call your card issuer to confirm the card is not blocked and that cash advances are not restricted on your account.

If you cannot get a PIN set up quickly or your card does not support cash advances, consider asking a friend or family member for cash, visiting your card issuer's branch to withdraw from your linked bank account, or using a debit card if you have one.

Frequently Asked Questions

Does withdrawing cash with a credit card hurt my credit score?

The withdrawal itself does not hurt your score, but carrying a balance on the cash advance does. If you pay it back immediately, there is no impact. If you carry it month to month, it increases your credit utilization ratio, which can lower your score by a few points.

Can I use a credit card at an ATM without a PIN?

No. ATMs require a PIN for security. If your card does not have one, you must set it up with your card issuer before you can withdraw cash. This usually takes a few minutes by phone or app.

What is the difference between a cash advance and a regular purchase on a credit card?

A regular purchase has a grace period (usually 21 days) before interest starts, and a lower APR. A cash advance charges interest from day one, has a higher APR, and costs an upfront fee. Both count toward your credit limit and utilization ratio.

Can I get a cash advance at a bank teller instead of an ATM?

Yes. You can visit any bank branch and ask to withdraw cash using your credit card. The fees and interest rates are the same as an ATM withdrawal, but a teller can process larger amounts and you avoid the ATM operator fee.

What happens if I cannot pay back the cash advance?

The balance stays on your credit card and interest continues to accrue at your cash advance APR. If you miss payments, late fees apply and your credit score drops. The debt does not go away until you pay it off or the account is closed.